The
San Mateo County Grand Jury finds that to combat the threat of further
cases of West Nile Virus, the San Mateo County Mosquito Abatement District
should be permitted to expand its programs of vector control throughout
the entire county. All cities in the county should cooperate with LAFCo
in expediting the proposed annexation of all areas not currently with
the District.

Issue: Have
San Mateo County agencies, including the San Mateo County Mosquito Abatement
District, County government, and individual cities adequately responded
to the threat of West Nile Virus?

There
have been several cases of West Nile Virus among County residents. While
only twenty percent of those infected contract the disease, and less than
one percent contract the severe form with development of aggravated meningitis
or encephalitis type symptoms, it can be fatal to the elderly or those
with compromised immune systems.

The San Mateo County
Mosquito Abatement District (SMCMAD), formed by the merger of two small
districts in 1953 and headquartered in Burlingame, is an independent special
district set up and empowered under state law with one of its primary
functions that of combating mosquitoes and mosquito-borne diseases. It
provides safe, i.e., non-toxic to humans, methods of control. SMCMAD recently
completed and updated a comprehensive Arbovirus Surveillance and Response
Plan under which SMCMAD will continue to provide vector management services.
A "vector" is an organism that transmits a disease.

In a comprehensive
report to the Board of Supervisors on the West Nile Virus on September
18, 2002, the San Mateo County Health Services Agency recommended that
the SMCMAD be expanded to include the entire County. Currently, only one-third
of the geographic area of the County is within the District. Seven cities
in the northern portion of the County (Daly City, Brisbane, South San
Francisco, Colma, San Bruno, Pacifica and Half Moon Bay), the western
coastal section of the County, and certain rural areas to the south are
outside the District.

The Board of Supervisors
endorsed the recommended plan to combat West Nile threat to San Mateo
County by annexing to SMCMAD portions of the County that are not within
the District. Annexation would enlarge the District from approximately
166 square miles to a total County area of 450 square miles.

SMCMAD submitted a
formal application for the annexation to LAFCo on January 21, 2003. Negotiations
took place involving SMCMAD, the cities, the County and LAFCO. Such negotiations
considered tax consequences in the newly annexed areas which would involve
1) a $3.74 annual parcel tax, equal to that imposed on owners presently
within the District, and 2) allocation to the District of a portion of
the one percent assessed value (AV) tax. Both subventions would increase
SMCMAD revenue by approximately $335,000 from parcel tax proceeds and
$400,000 from the AV allocations. The increased tax revenue would fund
the cost of six new employees required to service newly annexed areas.

SMCMAD
has stated that the annexation needs to conclude quickly so that the new
staff can be hired and trained to be ready for the mosquito breeding season
beginning this spring. No city or other areas, including unincorporated
areas in the County, has formally opposed annexation, with the sole exception
of Daly City. However, several cities have raised questions as to costs
that would result from inclusion in the annexed area.

Daly
City has refused to approve annexation. Daly City in its Council resolution
stated that the annual costs of annexation would involve the transfer
of $91,000 of City property taxes to the District and a further payment
of $120,000 in parcel taxes. Daly City has stated it does not intend to
agree to any transfer of property taxes or imposition of assessments on
its owners and residents and has asked SMCMAD to delete its name from
the resolution requesting annexation and the LAFCo application.

In a
letter dated January 22, 2003, SMCMAD's Manager stated that while SMCMAD
has a contractual abatement agreement with Daly City for the Mussel Rock
area expiring June 30, 2003, SMCMAD would be unable to provide further
services to Daly City on a contractual basis after that date.

Daly
City has previously contracted for SMCMAD services, including responding
to residents' complaints, mosquito surveillance and preventative and control
measures at catch basins, vaults, waste water facilities, freshwater and
salt marshes and residences, as well as overall monitoring and disease
control including the use of sentinel flocks of chickens and dissemination
of public information. It is SMCMAD's position that many if not all of
these programs will be discontinued if Daly City is not annexed to the
District. SMCMAD has performed significant preventative measures in significant
areas of mosquito infestation within Daly City, including coast side,
lands adjacent to San Francisco Bay, near Lake Merced, golf courses and
storm drainage from Junipero Serra Boulevard and in the vicinity of the
Cow Palace.

San Mateo County
does not have a comprehensive countywide vector control program. To
mount an effective campaign against the outbreak of further cases of
West Nile Virus within San Mateo County, SMCMAD needs to conduct county-wide
monitoring, surveillance, and treatment; and to provide public information
and education. To be successful, SMCMAD needs the full legal power and
authority, financial capacity, staffing, and public support.

Recommendations:

1. LAFCo should
expedite the proposed annexation of the currently unannexed portions
of the County by SMCMAD.

2. The City of
Daly City must join SMCMAD before the expiration of its current contract
for vector control to not only protect its residents but to enable
SMCMAD to take effective countywide measures.